Billing and Payment Management

OS165 Momentum Recommended Process This is our preferred, tested workflow to ensure accuracy and efficiency in Momentum AMS.

Overview

Billing and payment management in Momentum AMS ensures accurate invoicing, timely collections, and proper reconciliation of agency receivables and payables. This process covers the full cycle — from creating and distributing invoices, to processing payments, reconciling accounts, and monitoring balances.

1️⃣ Creating Customer Invoices

The purpose of this step is to create clear and professional invoices that establish the amount owed by the customer and support smooth payment tracking for various financing arrangements.

Review Policy and Billing Type – Confirm the billing method, such as:

Agency Bill Paid in Full (PIF) – Customer pays the agency upfront.
Agency Bill with Outside Financing – Premium finance company pays the carrier, customer pays the finance company. For detailed instructions on this billing type, see How to Bill a Financed Policy in Momentum AMS
Direct Bill – Carrier bills the client directly.
Direct Bill with Down Payment – Carrier bills for the balance, agency collects the down payment.

Generate the Transaction – Before creating an invoice, generate a transaction to establish receivables (owed by insured) and payables (owed to carrier, net of commission):

Navigate to the insured's Policy > Billing.
Click on Endorsements/FeesTaxes/.
Click on Actions and Edit Endorsement/Fee or Add New for a new Endorsement.
Enter the Base Premium and any Taxes/Fees.
Verify the correct Billing Type.
Click Generate Transaction.
Confirm a Check Sum Sanity of 0.

Automatic Option (One Step)

On the Generate Transaction screen, select:
Save and create invoice for receivable and issue payment for payable and net agency commissions.
This does all of the following at once:
- Creates the insured invoice for any receivable.
- Creates the carrier/MGA payable.
- Nets out the agency commission automatically.

This is the fastest method because it bundles receivable, payable, and commissions into a single click.

Manual Option (Step by Step)

On the Generate Transaction screen, select: Save

Insured Invoice

Go to the insured’s Documents tab.
Select Invoices/Receipts.
Click Add New.
Choose Insured Invoice/Receipt.
Make sure the correct policy is selected.
Check the Outstanding Receivable item and click Add.

From here you can also take payment (record check, credit card, or integrated payment) or just leave the invoice open until payment is received.

Issue Payment to MGA/Carrier

Go to the insured’s Documents tab.
Select Issue Payment.
Click Add New.
Choose Pay to (Carrier or MGA).
Make sure the correct policy is selected.
In the list, check the Outstanding Payable item(s).
Also check Net Commissions if you want the system to automatically apply the commission offset.
Click Add.

Customize Based on Billing Type –

For PIF – Show full premium due with payment instructions to the agency.
For Outside Financing – Show only the down payment, note the remaining financed amount, and include finance company details.

2️⃣ Distributing Customer Invoices

Timely and clear invoice distribution improves collections and the customer experience.

Final Review – Confirm billing contact, address/email, due date, and any agency fees/taxes.
Choose Distribution Method – Options include:
- Print, email to the insured, or post to the client portal.
- Include Payment Instructions – Mailing address, payment links, or integrated payment system links (EpayPolicy, Simply Easier Payments).
- If you’re interested in using one of these providers, check out the Integrating Momentum AMS with Payments article for details on setup and available options.
Clarify Penalties and Due Dates – Use standard late fee and due date language.
Document Distribution – Add a note and apply a tag (e.g., Billing – Invoice Sent, Receivables – Reminder Sent).

3️⃣ Processing Customer Payments

Accurate payment recording ensures receivables, commissions, and revenue reports stay current.

Identify Payment Type – Card (integrated provider), check, EFT/ACH, or premium finance company payment.
Apply Payment in AMS – From the invoice or billing section, click Take Payment and enter payment method, amount, date, and notes.
Confirm Account Reconciliation – Verify balances, note partial/overpayments, and ensure fees/taxes are accurate.
Document Financing Usage – If financed, record company and terms in the billing tab; track down payments separately.
Record in AMS – Add a note and tag (e.g., Billing – Payment Received, Finance – Applied Payment).

4️⃣ Reconciling Customer Accounts

Reconciliation ensures accurate balances and prevents reporting errors.

Review Open Invoices – Use the billing tab or receivables dashboard to find unpaid/partial or past-due invoices.
Match Payments to Invoices – Verify dates, amounts, and related policy/invoice numbers.
Investigate Discrepancies – Review notes, payment records, or contact the customer.
Apply Adjustments – Record write-offs, credits, or refunds as needed.
Record Reconciliation – Add a note and tag (e.g., Finance – Reconciled, Billing – Account Balanced).

5️⃣ Monitoring Customer Account Balances

Proactive balance monitoring prevents cancellations and supports customer retention.

Review Aging Receivables Report – Focus on 0–30, 31–60, and 61+ day balances, high-dollar accounts, or repeat late payers.
Send Reminders – Email 5–7 days before due date, follow-up 1 day past due. Include payment links if available.
Offer Payment Arrangements – For 30+ days past due, arrange installments or extensions; document agreements.
Follow Up and Monitor – Set task reminders for promised payment dates; send final notices before cancellation.
Record in AMS – Add a note and tag (e.g., Receivables – Past Due, Collections – In Progress).

This workflow gives agencies a full, step-by-step process for managing billing and payments in Momentum AMS — from invoice creation to account reconciliation — ensuring accuracy, compliance, and a professional customer experience.